Trading Update
31/01/2023 07:00
For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230131:nRSe3100Oa&default-theme=true
RNS Number : 3100O DX (Group) PLC 31 January 2023
AIM: DX.
DX (Group) plc
("DX" or "the Group")
Trading Update
DX, the provider of delivery solutions, including parcel freight, secure
courier and logistics services, is pleased to provide an update on trading for
the 26 weeks ended 31 December 2022, the first half of its current financial
year. In a separate announcement published today, DX is also pleased to report
the appointment of its new Chief Executive Officer.
Trading over the period was strong, in line with the Board's expectations,
with Group revenue approximately 15% ahead of the first half of the previous
financial year. Customer supply chain issues have normalised, labour market
pressures have eased, and costs have been managed effectively. The Board
remains confident that the Group is well-positioned to meet its expectations
for the financial year despite the economic headwinds, as it enters the second
half of the year.
The Group's financial position remains strong. Net cash at the period end
totalled £36.4m (1 January 2022: £14.5m) and the £20m invoice discounting
facility remains undrawn, giving the Group significant levels of headroom.
Both divisions, DX Freight and DX Express, contributed to revenue growth and
both have improved margins against the same period last year, helped by
operational improvements and price increases. Net new business at each
division in the period continued to be healthy and the pipeline of new
business opportunities remains strong.
Reflecting DX's growth opportunities and the pipeline of new business, the
Group continues to expand its depot networks. Four new depots were opened in
the first half, and a further two new depots are planned in the second half,
with an additional three depots relocating to larger premises. This expansion
will also drive productivity improvements and further enhance customer
service.
Interim results are expected to be announced at the end of February 2023.
Enquiries:
DX (Group) plc T: 020 3178 6378 (c/o KTZ
Mark Hammond, Chairman Communications)
Paul Ibbetson, Chief Executive Officer
David Mulligan, Chief Financial Officer
finnCap (Nominated Adviser and Joint Broker to DX) T: 020 7220 0500
Matt Goode/Simon Hicks (Corporate Finance)
Andrew Burdis/Charlotte Sutcliffe (ECM)
Liberum (Joint broker to DX) T: 020 3100 2000
Nick How/William Hall
KTZ Communications T: 020 3178 6378
Katie Tzouliadis/Robert Morton/Dan Mahoney
About DX (Group) plc:
DX is a well-established provider of a wide range of delivery services to both
business and residential addresses across the UK and Ireland. First
established in 1975 as a Document Exchange service to the legal sector, DX now
provides one of the widest ranges of overnight delivery services in the
market, as well as logistics services. Items that DX transports range from
confidential documents and valuable packages to large, awkward-to-handle
freight, unsuitable for automated conveyor.
DX Freight: comprises DX 1-Man, DX 2-Man and Logistics. The Division
specialises in the delivery of irregular dimension and weight freight ("IDW").
DX Express: comprises DX Parcels and DX Exchange and Mail. The Division
specialises in the express delivery of parcels and documents.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END TSTWPUUAGUPWGQU